Gift cards are cards that are redeemable for value to purchase goods or services from a specific source. An entity that issues gift cards to purchase its goods or services will be referred to herein as a gift card provider. An entity that sells gift cards will be referred to herein as a gift card seller. Currently, one of the most common methods for distributing gift cards involves the gift card provider and the gift card seller being the same entity. For example, a retailer that issues its own gift cards and sells the gift cards at the retailer's place of business is both a gift card provider and a gift card seller. The retailer can purchase a kit to issue its own gift cards or can have the gift cards made by a third party. The retailer is also required to have infrastructure for activating the gift card and redeeming the gift card for value.
Another method for distributing gift cards is third party distribution where a gift card provider provides its gift cards for sale via a third party seller's distribution channels. For example, a commercial airline may issue its gift cards and provide those gift cards for sale in a grocery store. In another third party gift card distribution example, a telecommunications service provider may provide prepaid phone cards for sale in a convenience store.
One advantage of third party distribution of gift cards is that the gift card provider increases its revenue from gift cards using the distribution channels of third party sellers. However, existing third party gift card distribution methods also have a number of disadvantages. For example, one conventional third party gift card distribution method involves an entity that will be referred to herein as a gift card distribution aggregator. A gift card distribution aggregator is a business entity that contracts with sellers to be on a list of potential gift card distribution channels for gift card providers. The gift card distribution aggregator then contracts with gift card providers for distribution of the providers' gift cards via sellers that have contracted with the gift card distribution aggregator. An example of an entity that currently exists and that is a gift card distribution aggregator is Blackhawk Network of Pleasanton, Calif.
Problems associated with distributing gift cards via gift card distribution aggregators, such as Blackhawk Network, include the fact that Blackhawk Network does not allow gift card providers and gift card sellers to negotiate with each other regarding the terms of gift card distribution. In addition, a gift card provider who wishes to distribute gift cards using the Blackhawk Network distribution system is required to select one of the sellers that has already contracted with Blackhawk Network and it is not free to select any seller of the gift card provider's choosing. Another problem associated with distributing gift cards via gift card distribution aggregators is that the aggregators do not offer real time settlement of gift card transactions between gift card providers and gift card sellers. A gift card provider whose gift cards are sold via a third party seller under contract with Blackhawk Network is required to wait for payment from Blackhawk Network which may occur weeks or even months after a gift card has been activated.
Another problem associated with existing third party gift card distribution systems is that they do not allow for peer-to-peer gift card transaction routing or processing. All gift card activation, redemption, voiding, or other transactions are directed to the gift card distribution aggregator. As a result, the processing and settlement of gift card transactions may be delayed, and the terms associated with gift card transaction processing are controlled by the aggregator, rather than the provider or the seller.
Accordingly, in light of these difficulties associated with conventional third party gift card distribution, there exists a need for methods, systems, and computer readable media for peer-to-peer third party gift card distribution and peer-to-peer transaction routing therefor.